Board Members May Have Backdated

Nearly 1,400 corporate board members appear to have profited from the manipulation of stock option grant dates over a 10-year period, results of one study show. The analysis raises the possibility that hundreds of board members were aware that options were backdated to boost their value to themselves and company executives. That could be seen as a conflict with their role as advocates for all company shareholders. The backdating scandal emerged this year after academic research by ERIK LIE of the University of Iowa, leading to resignations and investigations at scores of companies.